Japanese and Indonesian Steel Industry Have the Conferences for Steel Trade and Partnership

The joint conference of the Japanese and Indonesian governments and private sectors was held in Jakarta, where there were discussions for the negotiations of the economic partnership agreement (EPA) mainly for the steel field. Governments, steel industry, automobile and consumers-electronics industry in both countries attended participated in the conference There were Japanese note that the liberalization of the steel products trade from Japan immediately and Indonesian note that all steel products are excluded from the abolition of tariffs. Krakatau Steel in Indonesia put up the cautious stance for the liberalization of the steel trade because the firm plans the expanding the steel production to 20 million tonnes by the new blast furnace in 2020 from at 6 million tonnes per year at the present. However, the steel users in Indonesia asked the abolition of tariffs of the steel products and hammered to consider shifting to other country because they have poor purchase of the steel products from domestic market Otherwise, the Japan Iron and Steel Federation explained to the Indonesian steel industry that Japanese steel products are uncompetitive Indonesian steel products and doesn’t give the loss after the liberalization, and the Japanese and Indonesian steel industry can get the mutual harmony and benefit. Further, the federation made a point a few merits that the cooperation of Japanese steel industry against Indonesian steel industry would expand by EPA, and the adoption of Indonesian steel products by main users of automobile and consumers-electronics would increase. Next negotiations by both governments will be held in the middle of April in Tokyo.